The recent decline in rice prices in Nigeria has elicited mixed reactions from citizens and traders. Economists attribute the disparity to conflicting interests: Nigerians desire affordable food, while business owners seek higher profit margins. Muda Yusuf, Chief Executive Officer of the Centre for the Promotion of Private Enterprise and Executive Officer of SD & D Capital Management, explains that this tension underlies the price drop.
A 50‑kilogram bag of rice now sells for between N55,000 and N75,000 in major Lagos markets such as Mile 12 and Oyingbo, down from N85,000 earlier in 2025. In Abuja, Dutse, and Kubwa markets, prices range from N65,000 to N85,000, depending on the brand. Prices of other food items—including yams, beans, onions, and tomatoes—have also fallen. Data from the National Bureau of Statistics show that headline and food inflation declined to 18.02 % and 16.87 % in September 2025, from 20.12 % and 21.87 % in August.
While the lower prices are welcomed by consumers, traders worry about shrinking profit margins and the impact on their investments. Yusuf urges the federal government to strike a fair balance between affordable food and sustainable business operations, emphasizing the need for consistent policies that support local production and keep rice affordable for the masses.
The temporary rice and staple‑food import waiver, which ended in December 2024, helped reduce prices and is seen as a key factor in the recent decline. However, local farmers have expressed concerns that such policies may affect indigenous food production. The government’s broader effort to stabilize the economy through well‑thought‑out measures, including the import waiver, appears to be yielding results.
The price drop carries significant implications for the Nigerian economy. The government’s next steps will be crucial in maintaining a balance between affordable food and viable businesses. As the economy evolves, policies that bolster local production and ensure that the benefits of growth are shared by all stakeholders should remain a priority.
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